House prices in Derrimut have soared in 2017, according to new figures.
The Real Estate Institute of Victoria released its quarterly results last week, with Derrimut median house prices jumping 12.7 per cent to a record $620,000 in the March quarter.
The rise was nearly twice the metropolitan average rise of 7.6 per cent, with Melbourne reaching a record median house price of $826,000.
In the past five years the median house price has risen from $420,000, a 48 per cent jump.
REIV president Joseph Walton said Derrimut’s rise was part of a trend in Melbourne’s west over recent years.
“Melbourne’s west has experienced strong price growth in past two years, with buyers increasingly looking for value within 20 kilometres of the CBD,” Mr Walton said.
“The city’s western suburbs continue to offer affordable opportunities for buyers, with median house prices often well below their south-eastern counterparts.”
Mr Walton said while this was a new record for the suburb, it was not likely to remain so for long.
“Derrimut remains attractive for buyers and is likely to see continued growth in the next year,” he said.
“Given its proximity to the city and new infrastructure commitments by the state government, Derrimut is well placed to experience long-term price growth.”
Barry Plant Deer Park director Ross Vorrias said the price rises did not surprise him, with buyers now recognising the value of the small suburb.
“Derrimut being such a small area it has flown under the radar for a long time, but people are starting to realise its potential,” he said.
“The most common feedback we get from buyers is there is a shortage of stock and they are being priced out of the market, and houses in that area are pretty new, well equipped, and very close to things like schools and shops so it’s very convenient.
“We’re seeing good growth across the board and we definitely expect that to continue this year.”
